The motor industry is one of the most profit generating industries in the world. Due to this fact, it is true to state that this is one of the most competitive industries in the globe. This is industry is dominated by some of the wealthiest corporate organization around the globe. This is the sole reason why competition for the market advantage is at its peak in this industry. In this article, two of the greatest and the most famous motor companies are put under the microscope. The companies are Ford and General Motors (GM). The primary objective of the article is therefore to major on some of critical differences and similarities between the two companies with regards to their management roles and how well or bad they are done within the companies, their Human resource management strategies and how they aid in the decision making and how every company manages the issues of diversity, ethics, and the social responsibility. It is worth noting that management is an essential part of this organizations success in the industry. Critically analysis and comparison based on their management hence can give an overview of the motor industry structure and environment. By the end of the discussion, the author of the article expects the reader to have a complete overview of the topics above.
Managers have critical role to play in the organization, and their decision-making strategies and how they approach the entire organization management is very critical to the success of the entire organizations. There are specific roles or functions which managers play in the organization which makes them either to have the organization stuck in one place or continue enjoying the competitive advantages over others. The functions include leading the organization, organization the functions of the organization, planning, controlling and many others. These are some of the areas where the companies such as Ford and GM have excelled in and have given the comparative edge over others in the Motor industry.
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Planning is part and parcel of Ford success. This company uses strategic planning method to come with some of the issues which either give them an opportunity in the market or make them vulnerable in the same industry. Ford take into consideration specific factors when drafting their planning. The planning is done by the top level or the strategic managers within the company. The strategic management team in this organization put into consideration the following as they strategically plan for the organization. The first is the economic issues. These include the change in the prices of the products which are used in different countries such as China, India and many others ( Heizer, 2016). The inflation and also the GDP of each of the targeted market are also considered as part of the plan so that the cars which are designed for them become pocket-friendly and many others. In their plan, the organization considers environmental factors such as the issues of the global climatic requirements' and others. Vehicles are one of the environmental pollutants, and this is one of the reasons why this company put them in consideration. Social issues such as the change in taste for the vehicles also form part of the plans for the organization. They also consider potential changes in the policies as thy caries out their planning functions. The competition in the market, as well as the competitors' strategy in the market, is also given priority.
On the other hand, GM has both short term and long term planning which are used by the company. In this company, the top managers make a top decision on planning. They carry out strategic planning and other general planning within the organization. On the other hand, there are operational managers within the company who carries out planning within their respective operational departments. However, their plan must be approved by the finance and other managers. Like Ford, GM also considers some factors such as the economy of the operational country, the social perception, the GDP and inflation, technical changes and also the competitor's position in the market as they decide planning.
Organizing is a function of the manager which aims at coming up with an organizational structure and allocating the human resources to have the objective of the organizations accomplished. This is one of the issues which are given priority by the management of Ford Company. Fiord organization structure which is used by the managers is more of horizontal and vertical structure combined. In this company there are those executive chairmen who are tasked with overseeing the general function of the organizations. This is then followed by CEO report directly to the chairman. This is vertical structure, and this is also witnessed in the relationship between the vice president and the group of the vice president of the company. However, other individuals such as the operational managers, financers, and others have a flat kind of structure which enables them to consult each other and make the workflow very easy. The Company from the sweepers to the senior most teams has their job structure as well as their manner of a report based on the vertical and also flat structure. The junior employees and those employees at the same level uses flat communication, structure and others expect when they want to communicate with senior employees within the organization. In an art shell, the organization structure used by Ford is the functional organizational structure. This is much different from the GM which used a kind of decentralized structure of the organizations. It has united of business where employees are assigned roles based on their specific qualities. For each of the business units which are used in this company, there is a general manager who is tasked with overseeing the smooth running of the units. This also has been one of the great secrets behind their success.
Leading is more of involving others or using them to attain the primary objective of the organizations. Leading is one of the most important traits in the organization which make it very successful and competitive. For both organizations, they have had strong leaders who have done their best in ensuring that the organization has succeeded. However, there has been a distinct type of leadership which these two companies have been using. For instance, Mark filed who has been one of the outstanding leaders in Ford has instilled operational leadership in this organization. This has been one of the best kinds of leadership style which has been used in this organization. Operational leadership has been divided regarding units in the organizations, and this has been one of the strategies which this organization has used for its success. This has also been extrapolated to the organization through managing others, business operational, enterprise management and many others. On the other hand, GM has used functional management style and leadership for some time. This is a kind of leadership style which has been advocated for by Marry Bara. This has been the style the organization has used for quite long within its environment to ensure that the organization is motivated. GM has been switching its leadership style and ways of leading the organization from the functional to the enterprise an also another type of leadership to have their employees motivated at the departmental level. This has been used for some time too in the organization. The types of leadership style which has been used more frequently are managing people, sometimes; they use business leadership management and many others. It is also worth noting that it is due to these smart leadership strategies which have set these two companies apart and also has created a lot rivalry between the two companies. This leadership style has been integrated into the organization, and many other department and hush have been adopted in the all the organization among the operational leaders, departmental leaders, and many others.
Controlling as a function of the management is to ensure that performance within the organization among the employees does not deviate from the standard. Performance is the heart of the organization and has to be to the standards for the organization to progress well. Managers at the Fords use performance appraisal and other matrices to ensure to ensure that their employees are well placed to ensure that the employees match standards. The employees are rated based on the specific score which is up to the standard within the organization to ensure that they match standard which is needed in the organization. The employees are then given feedback so that they may know exactly what is required of them and also the progress and many others. This is also one of the methods which the managers in the GM use to ensure they have control over the employees and also to ensure that the employees attained the standard which is required by the organizations. This also has ensured that the two organizations have qualified staff and who are experienced in their field and who ensure that every activity they undertake is within the range of the quality which is needed by the organization.
Decision making is a very critical process in the organizations. Proper decision making is the root of success in the organization. Human resource management is one body which is tasked with decision making on matters concerning the organization success. Their decision in the organization is directly connected to the management and also plays a critical role in the organizational management. At Ford, decision making is based on the levels of the management or the employees. For instance, there are those employees who are at the same level of the organization structure. For include finance operationally manages, there are the IT departments and many others. These people decide consultation with each other in a flat manner. However, these individuals consult other senior managers in case there is an issue which affects the wider area of the organization. There is a critical decision which influences the management of this organization. First, there is the decision on the design of goods and services. In this decision, it has to be in line with the goal of the organization which need be consistency. This decision is to bring about the management which is oriented to the main goal of this organization which is to maintain consistency in their good. The next area where the HR is also involved and also affects the entire management of Ford is the decision making on the quality management. The organization decided to have a quality assurance committee so that it can enhance quality practices and also instill the culture of quality management within the organization. This has been part and parcel of the organization. In fact, Human resource managers within this organization ensure that during the process of selection and recruitment, the new employees go through this department so that they can be vetted based on the quality and expertise. This is decision has entirely changed the management style in many departments within this organization. Further, this organization ensures that human resource can make a strategic decision which is very well calculated so that the job designs for every employee within the organization is suited with the kind of task which they need to do. Such kind of decision, therefore, has a massive impact on how these employees are managed. Further, such decision also has an impact on the role of the managers such as the controlling functions and many others.
Boards of directors at the GM are tasked with making a critical decision which directly affects the organization. The decision which is made in this organization has a direct influence on the management of the organization. For instance, most of the branches of GM which are located in different countries in the world such as China have human resources managers who come from the same state, which are then connected to the headquarters through website and internet where they report their daily activities. Further, the board of directors also decided that after the retirements, every employee need to be catered for health wise. For this reason, the human resource management of this organization had to look for a way to make the life cover insurance be part of the management of this organization on the side of the employees. This shows that any decision which is made within this organization affects its management substantially.
Diversity is incorporating variety into the organization. Regarding diversity, it is very important to note that there is no much difference between Ford and GM. Both companies have employees many people who come from different backgrounds to ensure that they have diversified workforce which can operate in different countries where their branches are located. It is, therefore, means that diversity in the workplace, operational and also culture is at the core of each of this organization ( Laudon & Laudon, 2011). On ethics, Ford has tipped many organizations, GM included. In the years 2015, Ford was named the most ethical corporate company in the world by the Ethisphere Institute. This is awards which are given to a company which does its work day and in the right way without discriminating its environment. Ford has strong values and norms which have been the foundation of its strong ethics and also the corporate culture which has seen the organization becomes the most ethical organization in the world. "One Ford: one team, one plan, one goal" is the organization mission and it means employees and employers are working together as a team to ensure that organization culture, and also the image is maintained for the benefits of all. This has been the driving force for the organizational culture, ethics, and responsibility in the society. These are seen in their code of conducts and also the quality of the goods which the company offers to its clients. This is the kind of culture and also an ethical consideration which GM has upheld. However, it is worth noting that Ford has some worst ethical histories than GM. However, this has changed so far, and this makes Ford the best in this areas.
In conclusion, it is apparent that based on the comparison made in this paper, Ford and GM are very strong on their management strategies, decision making and also diversity and ethics. This has contributed to the success of this organization in the competitive motor industry. Though there are notable similarities in their management, these two companies have different strategies and approaches which set them apart and also define their position in the market.
References
Heizer, J. (2016). Operations Management, 11/e . Pearson Education India.
Laudon, K. C., & Laudon, J. P. (2011). Essentials of management information systems . Upper Saddle River: Pearson.
